Tag Archives: real estate

Ruling finds that parties may make informal modifications without notarization after the conveyance has become binding. By Christian Thiele The German Federal Court recently ruled that parties may informally modify a property purchase agreement if the conveyance has become binding — thereby confirming prior case law. The Court further held that the parties may also … Continue Reading

Proposed reforms to the Mietpreisbremse aim at strengthening and solidifying restrictions on steep rent increases in German urban areas. By Christian Thiele and Eun-Kyung Lee After intense discussions within the ruling coalition, the German government this week adopted a draft bill regarding the reform of German tenancy law. What is the Mietpreisbremse? The Mietpreisbremse (literally … Continue Reading

Real estate investors with their corporate seat and management outside of Germany may be subject to German taxation on capital gains from share deals. Non-resident individuals (investing directly or through partnerships or funds) will primarily be affected. By Tobias Klass and Verena Seevers According to a German draft tax bill, the sale of shares by … Continue Reading

FCJ decision finds that mere suspicion of contamination resulting from a sold property’s past use constitutes a defect. By Patrick Braasch and Christian Thiele The German Federal Court of Justice (FCJ) has ruled that an abstract suspicion of contamination resulting from a sold property’s past use already constitutes a material defect — irrespective of the … Continue Reading

The Conference of the German Ministers of Finance has announced measures against so-called share deal structures following the conclusion of the respective technical federal-state working group. By Tobias Klass Background So-called share deal structures have been the focus of German political debate about real estate transfer tax (RETT) for some time. The coalition agreement already … Continue Reading

Increased competition among insurers and improved policy terms suggest the German W&I insurance market is becoming more favourable to investors. By Christian Thiele In real estate transactions, buyers and sellers naturally pursue conflicting interests when negotiating a sale and purchase agreement. On the one hand, sellers will strive to achieve the highest possible purchase price, … Continue Reading

Cross-border migration of German real estate companies is generally possible, however its admissibility must be determined on a case-by-case basis. By Christian Thiele International real estate investors continue to favour German real estate, however, the same does not always apply to German real estate companies. International real estate investors, for instance, often find German capital … Continue Reading

By Karl Mah and Sean Finn Against a stormy backdrop of government instability and Brexit uncertainty, the 2017 Budget was always unlikely to rock the boat. The Chancellor chose not to launch a sweeping attack on “tax avoiders” in light of the public outrage over the Paradise Papers, instead targeting announcements in this area at specific perceived abuses. … Continue Reading

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